I would save $500 of the $1800. In addition to the 401k & IRA and including the 401k match, that is over $40K per year of savings. Geez, a brothers gotta live a little too.
BTW, I do include car insurance in my monthly budget. Vacations and gifts are paid out of my 20% annual bonus. For example, Xmas 2009 is already paid for and the cash will be in my account in February. No bonus= no vacation or gifts (unless funded through the monthly budget).
Also, my down payment does not deplete my savings. I still have 6 months salary plus my employment contract provides for 6 months severance.
It’s funny – my wife thinks I am the most financially conservative person in the world. We drive old Nissans, our underwater neighbors all drive BMW’s or the like. I’ll let her know you think we should save more…
